Alllex/E+ via Getty Images By Christopher Gannatti, CFA For decades, portfolio construction has revolved around a simple constraint: you have 100 percent of a total allocation, and every new addition requires taking a portion from somewhere else. That constraint has shaped everything as we look at the dominance of 60/40 portfolios and the difficulty of incorporating alternatives without sacrificin...
Alllex/E+ via Getty Images By Christopher Gannatti, CFA For decades, portfolio construction has revolved around a simple constraint: you have 100 percent of a total allocation, and every new addition requires taking a portion from somewhere else. That constraint has shaped everything as we look at the dominance of 60/40 portfolios and the difficulty of incorporating alternatives without sacrificing expected return. Introducing WisdomTree’s Efficient Capital Framework WisdomTree’s Efficient Capital framework was not introduced as a theoretical concept, and it was launched into the market in 2018 with the debut of the WisdomTree U.S. Efficient Core Fund ( NTSX ). NTSX represented the practical implementation of an idea that had largely lived in institutional portfolios and academic journals for decades. By combining a 90% allocation to U.S. equities with a 60% exposure to U.S. Treasury futures, the strategy delivered approximately 150% notional exposure, effectively recreating a traditional 60/40 portfolio, but doing so more efficiently, using less capital for the same overall notional exposure. The innovation wasn’t leverage for its own sake. It was about solving a structural inefficiency in portfolio construction, thereby freeing up capital without giving up core exposures. Since 2018, WisdomTree has expanded its range of options within the broader Efficient Capital Framework, and we think gold offers one of the most illustrative examples of helping investors solve a classic portfolio conundrum. Filling the Gap: Why Gold Might Belong in an Efficient Portfolio One of the most intuitive uses of newly created portfolio “space” is gold, an asset that has served as a store of value for centuries, yet remains persistently debated in modern portfolio construction. Unlike equities or bonds, gold does not generate cash flows. It pays no dividends, earns no interest and compounds nothing. In 2011, Warren Buffett famously stated “Today the world’s gold stock is about 170,000 m...
DoorDash revealed a set of financial results and guidance that didn’t blow away analyst expectations but the stock nonetheless was rallying in premarket trade on Thursday.
DoorDash revealed a set of financial results and guidance that didn’t blow away analyst expectations but the stock nonetheless was rallying in premarket trade on Thursday.
On today's show, the US and Iran are considering a fresh proposal to end the war, as the US President searches for an exit from the conflict. Donald Trump says Iran has agreed that it cannot have a nuclear weapon, though Iranian state media have signaled that parts of the US proposal are unrealistic. Bloomberg understands that China has told its biggest banks to suspend new loans to five refiners ...
On today's show, the US and Iran are considering a fresh proposal to end the war, as the US President searches for an exit from the conflict. Donald Trump says Iran has agreed that it cannot have a nuclear weapon, though Iranian state media have signaled that parts of the US proposal are unrealistic. Bloomberg understands that China has told its biggest banks to suspend new loans to five refiners sanctioned by the US - reversing guidance from just four days ago. Plus the German maker of medical equipment, Siemens Healthineers, cuts its full-year comparable sales forecast, saying the weaker outlook reflects structural changes in China's diagnostics market, along with stronger inflation pressures. Today's guest: Bernd Montag, Siemens Healthineers, CEO. Correct: Video edited at 00;01;20 to reflect German factory orders in graphic. Correct: Video edited at 00;39;19 to replace incorrect graphic. (Source: Bloomberg)
Medvedev: Russia Must Instill 'Animal Fear' In EU Warmongers As Goodwill Measures Futile Head of the Russian Security Council and former president, Dmitry Medvedev, has penned an article ahead of the 81st anniversary of Soviet victory over Nazi Germany, or Russia's V-Day, lambasting Europe's new path of reckless militarization. As widely featured in state media, he argued that the "animal fear" of...
Medvedev: Russia Must Instill 'Animal Fear' In EU Warmongers As Goodwill Measures Futile Head of the Russian Security Council and former president, Dmitry Medvedev, has penned an article ahead of the 81st anniversary of Soviet victory over Nazi Germany, or Russia's V-Day, lambasting Europe's new path of reckless militarization. As widely featured in state media, he argued that the "animal fear" of unacceptable losses will prevent Germany and the wider "United Europe" from launching another attack against Russia. He wrote , "It is no secret that an attempt is being made to impose on us the doctrine of ‘peace through strength’. Our response then can only be ' the security of Russia through the animal fear of Europe.' " Anadolu Agency He stressed that "neither persuasion, nor demonstration of good intentions, nor goodwill and unilateral confidence-building steps should be our tools to prevent a big massacre ." "Only the formation of an understanding among Germany and the United Europe supporting it of the inevitability of their receiving unacceptable damage in the event of the implementation of the Barbarossa 2.0 plan," Medvedev concluded. RT reviews and pinpoints why Medvedev is taking direct aim at Berlin in his written piece : German Chancellor Friedrich Merz openly vowed to turn the German military into the “strongest conventional army in Europe” in a speech just days after the world marked the 80th anniversary of the fall of the Third Reich last May. Last month, the German Defense Ministry unveiled a plan to reach this goal and field 460,000 combat-ready personnel by 2039, the 100th anniversary of Adolf Hitler’s invasion of Poland . German and other EU officials repeatedly cited 2029 as the first stage deadline to be “war-ready” for a potential conflict with Russia. It is true that even after 4+ years of grinding war in eastern Europe, the Western powers have yet to intervene directly by sending their own forces, and after losses on both the Ukrainian and Russian ...
Shell's profit surged in the first quarter as the Iran war drove oil and gas prices higher and an increase in volatility boosted the energy giant's trading business. Adjusted net income rose to $6.92 billion, the London-based company said in a statement. Bloomberg's Mitchell Ferman has more. (Source: Bloomberg)
Shell's profit surged in the first quarter as the Iran war drove oil and gas prices higher and an increase in volatility boosted the energy giant's trading business. Adjusted net income rose to $6.92 billion, the London-based company said in a statement. Bloomberg's Mitchell Ferman has more. (Source: Bloomberg)
The residents of Allentown are still sore about that Billy Joel song. And while it's true the Pennsylvania city became synonymous with deindustrialization after the steel industry began its decline in the 1970s, it should be known for more: In the 1950s, some of the first mass-produced transistors were made in the city, the precursor of today's semiconductors. The city is a unique logistics and e-...
The residents of Allentown are still sore about that Billy Joel song. And while it's true the Pennsylvania city became synonymous with deindustrialization after the steel industry began its decline in the 1970s, it should be known for more: In the 1950s, some of the first mass-produced transistors were made in the city, the precursor of today's semiconductors. The city is a unique logistics and e-commerce hub — it's a day's drive from nearly 40 percent of the US population. In today's episode, recorded in Madrid at the Citylab conference, we speak to Mayor Matthew Tuerk about the city's grand strategy for building back and sustaining its manufacturing base, implementing industrial policy on a local level, how rezoning has changed in the last decade, the political puzzle of data centers, recruiting companies to come to Allentown, de-risking the American supply chain, and our favorite new category of industry — weight-gaining industries. (Source: Bloomberg)